Non-fungible tokens have created a real buzz in the digital world over the past several years. That’s no surprise, especially when you see with your own eyes artists who have earned millions of dollars by selling NFTs.
If you look at NFT marketplaces, you can see that non-fungible tokens have skyrocketed over the past few years alone. For instance, according to DappRadar, NFT trading exploded from $100 million in 2020 to an unbelievable $22 billion in 2021. Moreover, the overall cost of the top 100 NFTs amounts to an impressive $16.7 billion.
But what actually is an NFT? And is it possible to create your own? It might be a bit challenging to get a full understanding, but don’t worry about that – our detailed guide will provide you with all the necessary information, including about NFTs themselves, as well as how to create one. So let’s get to it!
Table of contents
- What is an NFT?
- How do NFTs work?
- Who can create an NFT?
- How to make and min an NFT
- How to sell your NFT?
What is an NFT?
NFTs (non-fungible tokens) are unique digital assets that are stored and verified on a blockchain and cannot be replaced with any other asset with a similar cost. Here’s a great example: if you’d like to exchange Bitcoin, you can – as a result, you’ll get absolutely the same coin. In the case of NFTs, it’s impossible – that’s why they’re called non-fungible tokens.
Usually, NFTs are presented in the form of pictures, videos (sometimes, they can be fragments of a video game), music, GIFs, and collections of costly items.
NFTs are considered quite valuable since these assets can have only one possible version. In short, an NFT can have the only one owner – nobody is able to change its ownership or mint the same NFT on the blockchain. Considering this feature, NFT creators and owners have the ability to set their own prices for their assets.
How do NFTs work?
The technique required for the creation of NFTs is called cryptography. In the crypto world, people call this process minting. So, if you’re willing to mint NFTs, you need to pay for creating smart contracts with the help of cryptocurrency.
But what are smart contracts? Smart contracts are fragments of software code that allow a blockchain to store information securely and transparently. These codes help to manage the ownership and transfer of NFTs.
Who can create an NFT?
If you have a desire to create your own NFT, we’ve got some great news for you – anyone who has a small amount of money is able to make NFTs. Nowadays, several NFT platforms provide their users with special tools that allow them to create an NFT, as well as attach unlockable content to their files. So, it doesn’t matter who you are – an artist, a collector, or an entrepreneur – using simple tools for minting NFTs available on NFT marketplaces, you have an opportunity to create your own unique digital token.
How to make and mint an NFT
Now that we’ve learned all the necessary information about NFTs, let’s move on and take a closer look at the main question – how to make and mint your own NFT? Below you’ll find a detailed step-by-step guide that will help you avoid any mistakes and get things right on the first try – just read carefully, follow the instructions accurately, and you’ll be able to successfully create your own digital token.
1. Decide what type of NFT you want to create
First of all, you need to come up with a creative idea – it should be something original that can be digitized and turned into tokens. Bear in mind the following golden rule: only something unique has any value. Otherwise, no one will want to pay real money to acquire ownership of such an asset. For example, it could be some kind of a banner, an image, or a GIF animation. Plus, it’s even possible to make an NFT for real items, such as collectibles or a photo with a celebrity’s autograph. The concept of uniqueness plays a significant role, so think deeply about what can attract a wide audience.
2. Choose an NFT marketplace
Once you’ve decided what your NFT is going to look like, you can choose an NFT marketplace – a place where you’ll mint your piece.
Nowadays, there are several different NFT marketplaces, so choosing the best one might become a pretty challenging thing. Obviously, each marketplace has both advantages and disadvantages – that’s why it’s recommended to do your own research in advance. We’re ready to help you – below you’ll see the top 4 NFT marketplaces that are considered the most secure and reliable ones. So let’s take a closer look at all the necessary details.
OpenSea is the first NFT marketplace, launched in 2017. The platform is considered the most popular one among its competitors, and the way it works is the same as a decentralized community – users can control their assets, as well as cryptocurrency wallets and addresses themselves.
The main feature of OpenSea is the broad variety of categories. The most popular ones include art, sports, trading cards, and projects of famous artists. In addition, you can buy NFTs in the form of audio, a domain name, or a 3D object.
Here’s what else you should know:
- Blockchains used: Ethereum and Polygon
- What you’ll need: an ETH wallet
- Creator fees: 2.5% of your sale
Rarible is a project launched in 2019 and focused on digital art. For activity on the NFT platform, users can receive internal PARI tokens.
On Rarible, you can make, buy and sell NFTs in the following categories: art, photography, games, metaverse, music, memes, and others. Unlike OpenSea, Rarible offers NFTs only from its own marketplace. People usually use the WETH coin for trading. It can be bought for ETH, FLOW, and XTZ.
Here’s else you should know:
- Blockchains used: Ethereum, Flow, and Tezos
- What you’ll need: An appropriate digital wallet, according to your choice of blockchain
- Creator fees: It depends on the blockchain; there is also the option for free minting.
Holaplex is another NFT marketplace that operates on the Solana blockchain and offers its users multiple tools to make their own NFT without any difficulties. The platform has an easy-to-use interface and allows users to create NFT stores and marketplaces without code. Holaplex is considered one of the most popular places to make your own NFT since in 2021, it raised $6 million in a seed round led by blockchain-focused investment firm CoinFund.
Here’s what else you should know:
- Blockchain used: Solana
- What you’ll need: Phantom and Arconnect wallets,
- Creator fees: about 0.000005 SOL ($0.00025) per transaction. Fees can fluctuate, but actually, they’re almost zero.
The last NFT marketplace we’d like to tell you about is Objkt, the largest FA2 marketplace. It operates on Tezos and allows auctioning and trading tokens across smart contracts. The Objkt platform provides its users with a wide range of tools, as well as offers a different UI experience to Hicetnunc (HEN).
What does it mean? Anyone who has a HEN-based NFT is able to log in to its official website, and their HEN-based NFTs will appear in their collection on the platform. In addition, HEN artists and collectors can sell their NFTs by auction, which is a distinguishing feature of Objkt that hasn’t yet been included in HEN itself.
Here’s what else you should know:
- Blockchain used: Tezos
- What you’ll need: One of the compatible wallets: Spire, Temple Wallet, Galleon, Kukai Wallet, Umami, or AirGap Wallet
- Creator fees: 2.5% of your sale
3. Set up your crypto wallet
Finally, when you’ve chosen an NFT marketplace, you need to enter your account and find the interface that will help you add your new NFTs. As a rule, on all such marketplaces, you don’t need to register – account sign-in is done through an Ethereum wallet. If you don’t have one yet, you should create it – for instance, the most reliable and safe one is MetaMask. Other common wallets are Enjin, AlphaWallet, and Trust Wallet.
MetaMask wallet is presented in different versions – you can even install it as a browser extension. Keep in mind that all the operations will be completed with this wallet, so take care of its safety – use all the security settings. Plus, the wallet is used to authorize the platforms to run NFTs.
4. Buy cryptocurrency to fund your wallet
After you’ve created your crypto wallet, it’s time to buy cryptocurrency. This is necessary because you need to be able to pay gas fees to mint your NFTs. The simplest and most convenient way to do that is to create an account with a reliable exchange, such as Binance, Kraken, or Crypto.com. Since the process doesn’t take a lot of time and effort, it can easily be completed on your smartphone.
Now that you have an account, you can enter the system and buy cryptocurrency. If you’re willing to mint NFTs, you’ll need Ethereum (ETH) or Solana (SOL) coins – it just depends on the blockchain you’re going to use. After you’ve done that, you just need to transfer coins to your wallet. Below, you’ll find a small step-by-step guide that will help you to avoid any mistakes and complete the process successfully:
- First of all, you need to enter your exchange.
- After that, find the Wallet tab and open it.
- Press “Withdraw” and choose the required currency.
- Then, fill in your wallet address in the Address field.
- Once you’ve done the previous step, select the right network (ERC-20 for ETH, Solana for SOL).
- Finally, enter the amount and tap “Withdraw”. That’s it!
5. Create your first NFT
We’re happy to say that we’re at the finish line! Now, we’re going to share with you some recommendations that will definitely help you while creating your first NFT. Of course, each of us chooses our own way, but you still should think about how your art will translate digitally. Below, you’ll find all the helpful tips you need; just read carefully and bear in mind all the critical details when you make your own piece of art. So let’s check!
- First of all, use all the tools and materials you’ve already found.
- You can invest in new knowledge or technologies, but only if necessary.
- Here’s the simplest – find people just like you and share knowledge.
- Take a closer look at the audience that, in your opinion, will like your piece of art, and bear them in mind while creating NFTs.
- Think about how your NFT will look – for instance, will it have any visual, audio, or written components? Or perhaps all of them?
- Select a file type. For example, the OpenSea platform, which we told you about before, accepts JPG, PNG, GIF, SVG, MP4, WEBM, MP3, WAV, OGG, GLB, and GLTF.
- Think carefully about the file size – usually, the platforms have some limits.
- Another crucial thing is the accessibility factor. So, for instance, if you’re planning to create your first NFT in the form of your spoken-word poems, think about people with visual and/or hearing loss. In this case, it’s better to add subtitles.
6. Connect your wallet and mint your NFT
Let’s look at an example with OpenSea – actually, it’s always a great place to start.
At the top of the site is the main menu, where you’ll see the button “Create”. Once you’ve pressed it, a special form will automatically open – there, you’ll need to upload a required file in one of the following formats: JPG, PNG, GIF, SVG, MP4, WEBM, MP3, WAV, OGG, GLB, or GLTF. The size should be no more than 100 MB.
Actually, the form is large. First of all, you’ll need to add a file, enter its name, and provide a link to the site (optional). Next, you need to add a description and select the collection. After you’ve done the previous steps, the necessary options will be connected – blocks with characteristics, statistics, and so on.
At the bottom of the form, choose the print run (how many copies will be created), as well as the required currency. If you’re only willing to issue a single copy, leave the number 1. As for the currency, it’s better to leave Ethereum.
Once you’ve completed these steps and clicked “Create”, you’ve already got your own NFT token, which can be put up for sale. After that, you can go to its buyer card and set the price.
7. Set up an auction for your NFT
Your final step will be the following: you should decide how you’d like to monetize your NFT. Depending on the platform, you can:
- Sell your digital art at a fixed price. If you set a fixed price on your NFT, the first person who’s ready to buy it and meet that cost will be able to buy your digital asset.
- Set a timed auction. Such an auction will provide those interested in your NFT art a time limit to submit their final bid.
- Start an unlimited auction. The name speaks for itself – in this case, there are no time limits. Instead, you have an opportunity to end the auction at any time you like.
Also, you’ll need to specify the minimum price (if you set up an auction) and set your royalties to make an income from your NFT if it resells on the secondary market, as well as think about how long it’s better to hold an auction (if timed).
That’s it! Now you know how to make your own NFT in 7 simple steps! If you have some difficulties with the process of NFT creation, just remember that you can always come back to our guide and clarify all the necessary details. In addition to our instructions, below you’ll find the answers to another crucial question – how to sell your NFTs, as well as an FAQ list that will definitely solve any outstanding issues.
How to sell your NFT
So, you’ve figured out how to create an NFT token – it isn’t so complicated, right? But now, you want to find out how to profit from the tokens you’ve created. However, it’s pretty difficult to find a buyer for such an asset. Is your “product” really in demand, and is its value relevant? Actually, you can make a start from the examples on NFT marketplaces.
We recommend you not look at the prices of offers that have been on sale for a long time – they may even not find a buyer. Instead, it’s better to keep track of the value of tokens that have already been sold. In this case, the profit directly depends on the advertising and popularity of the author. Even though there are a lot of offers on the market, it’s possible to get ahead of all the competitors – to do this, you should:
- Create something original;
- Sell an entire NFT collection;
- Offer some bonuses;
- Connect effective advertisements;
- Promote the author’s name.
Don’t be under any illusions – making money on NFTs isn’t easy, just like any other business. It’ll require start-up investments and a competent approach as well. In addition, you not only need to enter NFT marketplaces, but also ensure effective sales and attract potential buyers. Of course, don’t forget that each of your tokens requires a growth prospect, and one of your main aims is to provide it.
Still have some questions about NFT creation? If so, take a look at our FAQs list – there, you’ll definitely find the answers to all of your remaining issues, as well as familiarize yourself with the key definitions in the world of NFTs.
How much does it cost to make an NFT?
It usually depends on gas and site fees. For example, if you’ve chosen the Ethereum blockchain, you’ll have to pay about $70 to secure the token. In general, site fees amount to around $300, but sometimes, there is a possibility to list your NFTs for free.
What is minting?
In the NFT world, minting is a process that allows you to create your own digital token. To be more specific, you convert a digital file to a digital asset that is stored on the blockchain – thus, it becomes an official commodity that can be bought and sold on NFT marketplaces.
What’s a blockchain?
A blockchain is a database with transactions – it consists of a digital chain of blocks, each of which stores information about the previous and the next block.
Can you mint an NFT for free?
Yes, it’s possible, but only in the case of lazy minting. Such a process generates NFT metadata and doesn’t create a digital token at the same time. So, if someone buys your NFT, it is officially minted, and the gas fee goes to the buyer.
What are gas fees?
NFT gas fees are the payment that is required to make any transaction on the blockchain.
Can I avoid gas fees?
Again, it depends on the platform. However, consider the following options that can help you reduce the fees to a minimum:
- Avoid minting NFTs on Tuesdays or Thursdays (the most popular days).
- Try to combine several transactions.
- Take a closer look at the OpenSea and Rarible platforms.